The Ministry of Domestic Trade and Cost of Living (KPDN) has withdrawn its diesel sales control directive for land transport vehicles in Sabah, Sarawak and the Federal Territory of Labuan, including the previous purchase limits of 50, 100 and 150 litres, with the changes taking effect on Wednesday.
KPDN Enforcement Director-General Datuk Azman Adam said the decision follows Prime Minister Datuk Seri Anwar Ibrahim’s announcement on June 21 regarding the standardisation of subsidised diesel prices under the BUDI Diesel programme at RM2.10 per litre.
He said the cancellation of the directive, which was issued on March 27, 2026, is also in line with the implementation of a new subsidised diesel purchasing mechanism that allows eligible consumers to use their MyKad at petrol stations from Wednesday onwards.
Under the revised policy, retailers licensed to sell controlled petroleum products in Sabah, Sarawak and Labuan are no longer required to enforce diesel purchase restrictions on land transport vehicles.
Azman said the new mechanism is expected to improve the distribution of subsidised diesel by ensuring it reaches eligible recipients in a more targeted, efficient and transparent manner, while making the purchasing process more convenient.
He added that KPDN is urging all stakeholders to fully comply with the new system to ensure its smooth implementation and safeguard the interests of both the public and the country.
